C. Flaxy Bhd is concern about its management of working capital especially related to its cash conversion cycle. Currently the cash conversion cycle of the company is 70 days which includes the average age of inventories, 40 days taken to collect payment from debtors and 20 days allowed by supplier/creditors to pay the amount due to them. The company is now considering to change supplier. The change will lengthen the average age of inventories by 5 days and creditor agreed to offer credit term of net 45. The company spend RM5,000,000 per year on operating cycle investment and have to pay interest of 7% per annum on its negotiable financing. Assume 360 days in a year Required: i. Calculate current average age of inventories of the company. ii. Calculate the company's new cash conversion cycle if they change supplier. iii. Calculate the daily expenditure and the company's annual interest savings resulted from the change, if any. C. Flaxy Bhd is concern about its management of working capital especially related to its cash conversion cycle. Currently the cash conversion cycle of the company is 70 days which includes the average age of inventories, 40 days taken to collect payment from debtors and 20 days allowed by supplier/creditors to pay the amount due to them. The company is now considering to change supplier. The change will lengthen the average age of inventories by 5 days and creditor agreed to offer credit term of net 45. The company spend RM5,000,000 per year on operating cycle investment and have to pay interest of 7% per annum on its negotiable financing. Assume 360 days in a year Required: i. Calculate current average age of inventories of the company. ii. Calculate the company's new cash conversion cycle if they change supplier. iii. Calculate the daily expenditure and the company's annual interest savings resulted from the change, if any